Why Cheap Energy Always Creates Its Own Demand
Cheap energy always creates its own demand, making energy the ultimate scarce resource driving AI compute growth
“energy is is sort of the only scarce thing in the universe. Right? It's the only irreversible thing in the universe in terms of a resource.”
A speaker on No Priors argues that energy follows classic commodity economics — lower prices generate higher demand — and frames this as a permanent law relevant to AI's growing power appetite. The insight contextualizes why energy infrastructure plays like Valor are viable bets: AI compute is one demand driver, but the underlying dynamic is structural and indefinite. While relevant background for understanding AI infrastructure costs, it offers no new AI-specific signal or announcement.